Markets may open in the green following positive global cues

In the last trading session, Indian markets rebounded from the lower levels and ended the day with decent gains. On Thursday, in the opening deals, the D-Street may see some follow-up buying initially on the back of solid close on the Wall Street and positive cues from the Asian peers. At the time of writing, the SGX Nifty was trading higher by 31 points at the 10,888 level.

It is a sea of green for Asian equities in early trading on Thursday following the overnight gains on the Wall Street. The Japanese stock index Nikkei 225 has risen 2.33 per cent, China’s Shanghai Composite has advanced 1.47 per cent and Hong Kong’s Hang Seng has gained 0.47 per cent.

Back home, markets witnessed significant volatility on Wednesday, but buying interest in selected blue-chip stocks such as HDFC twins, ICICI Bank, SBI and Infosys helped indices to settle with gains of about half a per cent. The BSE Sensex and Nifty gained 0.44 per cent and 0.43 per cent, respectively. The broader market indices ended in the green too, with Nifty Midcap and Smallcap closing higher by 0.49 per cent and 0.17 per cent, respectively. On the sectoral front, Nifty Metal, Nifty Bank and Nifty Financial Services were the top performers. Nifty Auto, Nifty Media and Nifty Realty were top losers.

The US markets closed solidly higher on Wednesday. Investors turned optimistic, courtesy some positive development overseas. Hong Kong’s leader withdrew a controversial extradition bill and Italy’s new coalition government received green signal from the president. On the economic news front, trade deficit narrowed to $ 54 billion in July.  At the closing bell, the Dow surged 0.9 per cent, the S&P 500 index rose 1.1 per cent and the Nasdaq Composite jumped 1.3 per cent.

The European markets finished higher as Italy’s government voted in favour of a proposed coalition government and the UK parliament voted to block a no-deal Brexit. The UK’s FTSE 100 ended higher by 0.59 per cent, Germany’s DAX gained 0.96 per cent and France’s CAC 40 surged 1.21 per cent.